These are some ideas to reduce fuel expenses, our clients and members of our Facebook group “Landscaping Accountant” helped in contributing to this:
- On-site fuel tank
- Fuel card for employees
- Reduce idle time
- Improving route density
- 4 day work week (less fuel and overtime)
- Fuel efficient vehicles, especially when getting quotes/admin work done
- Reduce amount of bi-weekly lawns
- Implement higher profit jobs to absorb more of the fuel expense
- Electric equipment, start with the hand held tools
- Picking a day each week to quote instead of swinging by the site on your way home
- Combining quotes with days you are working in the area
- Planning a strategy for the day to minimize vendor trips
- Better communication internally and externally
- Improved job execution, leading to less call-backs/visits
- Improved fleet management
- Install fleet telematics
- Be better prepared for the job-site, with the proper tools, equipment and gear (the first time!)
- Getting materials delivered to the shop before the job
- Utilizing equipment with electronic fuel injection (EFI) vs. equipment with carburetors
- Using sprinter diesel vans instead of trucks
- Using the right vehicle, or equipment for the task involved
- Be strategic about the gas station that you go to
- GetUpside app, or other apps that allow for cash back
- Make a mobile office in your van
- Utilizing software’s and technology to manage business activities remotely, reducing the need to go to and from the office
Having clear financial reports, and a solid accounting foundation helps when it comes to tracking fuel expenses. Increasing pricing is now a necessary move in 2022 in order to remain profitable. Be prepared to revisit price increase conversations with customers sooner then 1 year from now!